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<DIV><FONT face=Arial><SPAN class=325131623-03122009>Private Forests News list
members:</SPAN></FONT></DIV>
<DIV><FONT face=Arial><SPAN class=325131623-03122009></SPAN></FONT> </DIV>
<DIV><FONT face=Arial><SPAN class=325131623-03122009>Here is an update from the
Oregon Department of Forestry Executive Team regarding proposed budget
reductions being considered within the current 2009-2011 ODF Budget. This
message was shared with staff on December 1.</SPAN></FONT></DIV>
<DIV><FONT face=Arial><SPAN class=325131623-03122009></SPAN></FONT> </DIV>
<DIV><FONT face=Arial><SPAN class=325131623-03122009>Questions regarding the
Private Forests News service?</SPAN></FONT></DIV>
<DIV><FONT face=Arial><SPAN class=325131623-03122009>Please
contact:</SPAN></FONT></DIV>
<DIV><FONT face=Arial><SPAN class=325131623-03122009></SPAN></FONT> </DIV>
<DIV><FONT face=Arial><SPAN class=325131623-03122009>Kevin
Weeks</SPAN></FONT></DIV>
<DIV><FONT face=Arial><SPAN class=325131623-03122009>Oregon Department of
Forestry</SPAN></FONT></DIV>
<DIV><FONT face=Arial><SPAN class=325131623-03122009>(503)
945-7427</SPAN></FONT></DIV>
<DIV><FONT face=Arial size=2><SPAN
class=325131623-03122009> </SPAN></FONT></DIV>
<DIV><FONT face=Arial size=2><SPAN
class=325131623-03122009>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>></SPAN></FONT></DIV>
<DIV><FONT face=Arial size=2><SPAN class=325131623-03122009>
<DIV><FONT face=Arial size=2>
<P class=MsoNormal style="MARGIN: 0in 0in 0pt"><FONT face="Times New Roman"
size=3>Hi everyone…about two weeks ago, on November 12<SUP>th</SUP>, we shared
an update with you regarding our budget status in three different areas of focus
and the potential impacts to the agency, employees, and our services.<SPAN
style="mso-spacerun: yes"> </SPAN>As we shared with you, one of these
planning areas is the potential need to further reduce current state agency
General Fund budgets depending upon decisions made by either the Legislature or
the Governor in the coming months.<SPAN style="mso-spacerun: yes">
</SPAN>With this message, we wanted to update you on this planning area, and
provide more detail about what is under consideration.</FONT></P>
<P class=MsoNormal style="MARGIN: 0in 0in 0pt"><o:p><FONT face="Times New Roman"
size=3> </FONT></o:p></P>
<P class=MsoNormal style="MARGIN: 0in 0in 0pt"><FONT size=3><FONT
face="Times New Roman">To recap the background, the <st1:State
w:st="on"><st1:place w:st="on">Oregon</st1:place></st1:State> economy continues
to suffer from the effects of a serious recession, and revenues for state
government operations are very uncertain.<SPAN style="mso-spacerun: yes">
</SPAN>The Oregon Legislature will be convening in a special session in February
of next year and it is expected that much of that February session will be
centered around the budget and revenue situation.<SPAN
style="mso-spacerun: yes"> </SPAN>In order to prepare contingencies for a
worsening budget or revenue outlook, the legislative leadership has asked all
agencies funded with state revenues or lottery funds to prepare further budget
reduction options up to a 10% of current budget level.<SPAN
style="mso-spacerun: yes"> </SPAN>For us, that means a General Fund
reduction of about $4 million.<SPAN style="mso-spacerun: yes">
</SPAN></FONT></FONT></P>
<P class=MsoNormal style="MARGIN: 0in 0in 0pt"><o:p><FONT face="Times New Roman"
size=3> </FONT></o:p></P>
<P class=MsoNormal style="MARGIN: 0in 0in 0pt"><FONT face="Times New Roman"
size=3>In our planning for this response back to the Legislature, the Executive
Team has chosen to return to our original strategic plan for General Fund budget
reductions that we used for the regular legislative work last summer that
produced the budget we now have.<SPAN style="mso-spacerun: yes">
</SPAN>This means that we will propose reduction options that further reduce the
Private Forests program, but because this doesn’t get us to the full 10%
reduction level agency-wide, we will also have to propose reductions in the Fire
Protection program.<SPAN style="mso-spacerun: yes"> </SPAN>And because
part of the funding of the Fire Program’s share of agency administration in this
biennium is General Fund, we will also have to submit reduction options for
agency administration programs.<SPAN style="mso-spacerun: yes">
</SPAN>Part of what makes the reduction so challenging and impactful is that by
the time decisions are made, there will only be about half of the biennium
remaining within which to make the reductions, yet the target is based on the
full biennial budget amounts.</FONT></P>
<P class=MsoNormal style="MARGIN: 0in 0in 0pt"><o:p><FONT face="Times New Roman"
size=3> </FONT></o:p></P>
<P class=MsoNormal style="MARGIN: 0in 0in 0pt"><FONT face="Times New Roman"
size=3>Our analysis and reduction planning work is complete for now and was
submitted to the legislative fiscal office and Governor’s staff yesterday late
afternoon.<SPAN style="mso-spacerun: yes"> </SPAN>Agency plans are being
posted on the Legislative Fiscal Office website at </FONT><A
title=http://www.oregonbudget.gov/ href="http://www.oregonbudget.gov/"><FONT
title=http://www.oregonbudget.gov/ face="Times New Roman"
size=3>http://www.oregonbudget.gov/</FONT></A><FONT face="Times New Roman"
size=3> under the “Budget Reduction Options” item at the top of this landing
page.<SPAN style="mso-spacerun: yes"> </SPAN>The proposed plan, if
implemented fully, would result in the following actions and impacts.</FONT></P>
<P class=MsoNormal style="MARGIN: 0in 0in 0pt"><o:p><FONT face="Times New Roman"
size=3> </FONT></o:p></P>
<P class=MsoNormal style="MARGIN: 0in 0in 0pt"><FONT size=3><FONT
face="Times New Roman">The first three percent segment of the 10% agency total
comes from <B style="mso-bidi-font-weight: normal">Private Forests</B> in order
to result in the level of funding envisioned in last legislative session’s
reduction planning effort.<SPAN style="mso-spacerun: yes"> </SPAN>This is
a General Fund reduction of about $1.2 million, and would result in the loss of
an additional 17 Stewardship Foresters, and the loss of another seven field
positions state-wide that provide support for the Private Forests program.<SPAN
style="mso-spacerun: yes"> </SPAN>At such a level, the program would be
unable to administer the Forest Practices Act in its current form, requiring
changes to both Oregon Administrative Rules and Oregon Revised Statutes. These
changes would result in shifting the Act to primarily a voluntary best
management practices program in order to ensure alignment between the level of
resources available to administer the program and legal mandates.<SPAN
style="mso-spacerun: yes"> </SPAN></FONT></FONT></P>
<P class=MsoNormal style="MARGIN: 0in 0in 0pt"><o:p><FONT face="Times New Roman"
size=3> </FONT></o:p></P>
<P class=MsoNormal style="MARGIN: 0in 0in 0pt"><FONT face="Times New Roman"
size=3>The remaining seven percent segment of the 10% agency total comes from
the <B style="mso-bidi-font-weight: normal">Fire Protection</B> and associated
<B style="mso-bidi-font-weight: normal">Agency Administration</B> programs
funding, and together, in a proportional way, represents a $2.8 million General
Fund reduction, or a total fund reduction of about $6.2 million due to matching
landowner assessments in the Fire Protection Program.<SPAN
style="mso-spacerun: yes"> </SPAN>For the Fire portion, this level of
reduction directly translates to an approximate 22% reduction across the
Department’s Fire Program budget for fiscal year 2011 (the second half of this
biennium) and therefore, a significant reduction in the level of protection,
primarily impacting initial attack capacity.<SPAN
style="mso-spacerun: yes"> </SPAN>The 22% reduction is statewide across
all districts and comprised of funds used for fire fighting and support staff in
both local districts and headquarters staff, engines and engine crews, and key
contracted resources such as district helicopters, air attack platforms, and
dozer contracts.<SPAN style="mso-spacerun: yes"> </SPAN>For the Agency
Administration portion of the reduction, a total of eight positions in
<st1:place w:st="on"><st1:City w:st="on">Salem</st1:City></st1:place>
administrative programs would be eliminated, or a 10% reduction in overall
administrative staffing.</FONT></P>
<P class=MsoNormal style="MARGIN: 0in 0in 0pt"><o:p><FONT face="Times New Roman"
size=3> </FONT></o:p></P>
<P class=MsoNormal style="MARGIN: 0in 0in 0pt"><FONT face="Times New Roman"
size=3>Whether any or all of this plan will have to be implemented is still very
uncertain, and again, decisions will likely not be made nor known until at least
the end of February.<SPAN style="mso-spacerun: yes"> </SPAN>If actions are
implemented, then, as we have done before, every effort will be made to treat
the position reduction and layoff process as effectively as we can for impacted
employees.</FONT></P>
<P class=MsoNormal style="MARGIN: 0in 0in 0pt"><SPAN
style="mso-spacerun: yes"><FONT face="Times New Roman" size=3>
</FONT></SPAN></P>
<P class=MsoNormal style="MARGIN: 0in 0in 0pt"><FONT face="Times New Roman"
size=3>It is important to remember from the November 12<SUP>th</SUP> message
that we are also underway with agency administrative cost reductions that will
need to move forward regardless of the decisions around the 10% General Fund
actions of the legislative or executive branches, in order to reduce our cost of
operations in alignment with reductions already made in State Forests and
Private Forests programs.<SPAN style="mso-spacerun: yes"> </SPAN>However,
if some portion of the 10% General Fund reduction is implemented, then the
administrative reductions that we’ve implemented or are planning to implement
will count towards the statewide action requirements.<SPAN
style="mso-spacerun: yes"> </SPAN>As we mentioned in the November
12<SUP>th</SUP> message, the Executive Team is finalizing the set of
administration reduction actions at this time and we’ll be sharing information
about these reductions soon.<SPAN style="mso-spacerun: yes">
</SPAN>Actions that are taken will begin to occur in early 2010. </FONT></P>
<P class=MsoNormal style="MARGIN: 0in 0in 0pt"><o:p><FONT face="Times New Roman"
size=3> </FONT></o:p></P>
<P class=MsoNormal style="MARGIN: 0in 0in 0pt"><B
style="mso-bidi-font-weight: normal"><FONT size=3><FONT
face="Times New Roman">In closing<o:p></o:p></FONT></FONT></B></P>
<P class=MsoNormal style="MARGIN: 0in 0in 0pt"><B
style="mso-bidi-font-weight: normal"><o:p><FONT face="Times New Roman"
size=3> </FONT></o:p></B></P>
<P class=MsoNormal style="MARGIN: 0in 0in 0pt"><FONT face="Times New Roman"
size=3>As we have said before, we know that these past 12 months have been
difficult, both organizationally and personally, and we know that budget
reduction actions have real impacts on individual employees, their lives and
their families.<SPAN style="mso-spacerun: yes"> </SPAN>We also know that
the news about reductions is hard to absorb and make sense of, and yet, we
believe you need to know the full information as it is developed.<SPAN
style="mso-spacerun: yes"> </SPAN>Therefore, as hard as this news is, we
know that it’s important that all employees are informed as we go
along.</FONT></P>
<P class=MsoNormal style="MARGIN: 0in 0in 0pt"><o:p><FONT face="Times New Roman"
size=3> </FONT></o:p></P>
<P class=MsoNormal style="MARGIN: 0in 0in 0pt"><FONT size=3><FONT
face="Times New Roman">As always, we thank each of you for the great work you do
in these difficult times, and please feel free to speak with your supervisor or
a member of the Executive Team if you have questions. <SPAN
style="mso-spacerun: yes"> </SPAN><B
style="mso-bidi-font-weight: normal"><SPAN
style="mso-spacerun: yes"> </SPAN><o:p></o:p></B></FONT></FONT></P>
<P class=MsoNormal style="MARGIN: 0in 0in 0pt"><B
style="mso-bidi-font-weight: normal"><o:p><FONT face="Times New Roman"
size=3> </FONT></o:p></B></P>
<P class=MsoNormal style="MARGIN: 0in 0in 0pt"><B
style="mso-bidi-font-weight: normal"><o:p><FONT face="Times New Roman"
size=3> </FONT></o:p></B></P>
<P class=MsoNormal style="MARGIN: 0in 0in 0pt"><FONT face="Times New Roman"
size=3>Best regards, </FONT></P>
<P class=MsoNormal style="MARGIN: 0in 0in 0pt"><o:p><FONT face="Times New Roman"
size=3> </FONT></o:p></P>
<P class=MsoNormal style="MARGIN: 0in 0in 0pt"><FONT face="Times New Roman"
size=3>Paul Bell, <st1:place w:st="on"><st1:PlaceName
w:st="on">Associate</st1:PlaceName> <st1:PlaceType
w:st="on">State</st1:PlaceType></st1:place> Forester and Chief<SPAN
class=224553700-02122009>
</SPAN>Nancy Hirsch, Chief</FONT></P>
<P class=MsoNormal style="MARGIN: 0in 0in 0pt"><FONT face="Times New Roman"
size=3>Fire Protection Division<SPAN
class=224553700-02122009>
</SPAN>State Forests Division</FONT></P>
<P class=MsoNormal style="MARGIN: 0in 0in 0pt"><o:p><FONT face="Times New Roman"
size=3> </FONT></o:p></P>
<P class=MsoNormal style="MARGIN: 0in 0in 0pt"><FONT face="Times New Roman"
size=3>Jim Paul, Chief<SPAN
class=224553700-02122009> </SPAN>Satish
Upadhyay, Chief</FONT></P>
<P class=MsoNormal style="MARGIN: 0in 0in 0pt"><FONT face="Times New Roman"
size=3>Private Forests Division<SPAN
class=224553700-02122009>
</SPAN>Administrative Services Division</FONT></P>
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size=3> </FONT></o:p></P></FONT></DIV></SPAN></FONT></DIV></BODY></HTML>